Overview
- Cohen intensified his takeover campaign in a Bloomberg interview on Thursday by vowing to bypass eBay management and present GameStop’s acquisition case directly to eBay shareholders.
- eBay’s board formally rejected GameStop’s $56 billion offer in May, saying the proposal was “neither credible nor attractive” because of unanswered questions about how the deal would be financed.
- GameStop has built a stake in eBay and now owns about 9.8 percent of the company according to recent regulatory filings.
- GameStop has taken preparatory governance steps including shareholder approval to increase Class A shares and the earlier withdrawal of a proposed CEO award, but it has not provided firm financing commitments for a buyout.
- Markets reacted modestly with eBay shares falling roughly 1.4 percent after Cohen’s remarks while many analysts continue to view eBay’s fundamentals positively, leaving the takeover’s odds dependent on clear funding and investor support.